What to Charge For Logo Design
You’re talented and you’ve got innate creative design skills that people will want to pay for. How do you determine the right price to charge for your logo design services? It is always a big question, what to charge for Logo Design? Several factors must be taken into account in order to ensure your pricing is competitive, achievable, and profit generating. You’ll need to understand the forces at work that will impact your ability to charge more or less for your design services.
Competitive Pricing
Analyze the price range in the competitive arena in which you’ll compete. Objectively evaluate competitor’s design product from both small design firms and freelancers to determine if you have an advantage that might support charging a higher price.
Consider that the internet has significantly expanded the number of competitors for most types of businesses and creative services are often offered at dirt cheap prices by designers in emerging economy countries like India.
Identify your Customer Base
Define who you’ll target as your customer base and analyze their price sensitivity. Do informal research among the target customer base by meeting with a few potential clients. Expose them to your design portfolio and then question them about price and value perceptions. Offer to do a sample design free as a way to thank them for their opinions and the insight provided into the price-value perception of your logo design product.
Costs of Services
Determine an hourly rate for your services based on the annual salaries of graphic designers at your skill level. Check with your state’s labor office to get statistics on wages and salaries reported in surveys from incorporated companies in the state. Use this information as a starting point to set a range for your services, adjusting this figure upward to cover general administrative costs like office space even a home office. Then, do simple math calculations to determine your hourly rate by dividing an annual salary by 50 weeks, then 5 days, then 8 hours. The result is an hourly rate.
Strength of Your Reputation
Know that your years of experience as a designer and possession of a portfolio crammed with beautiful logos will go a long way toward allowing you to charge more for your design services and targeting higher-end clients like advertising agencies or medium to larger size companies. Elevate and expand your reputation by actively participating in the local design communities through membership in clubs, guilds, and trade associations.
